ECB Hikes Rates 25 Bps with Hawkish Tone, US Yields Drop Sharply
The ECB raised rates by 25 basis points and hinted at further tightening, while US Treasury yields declined sharply in early trading.
EURUSD
The European Central Bank delivered a 25-basis-point rate hike in its latest decision, accompanying the move with a hawkish stance on inflation. The ECB noted that higher energy prices and weaker confidence are likely to weigh on economic growth.
According to the statement, the central bank is expected to hold rates unchanged at its July 26 meeting. Meanwhile, US Treasury yields fell sharply this morning, reflecting a shift in bond market sentiment.
Source: FXStreet Forex News